Utica Shale

Ohio Issues Six Utica Shale Drilling Permits

Six new Utica Shale drilling permits were issued by the Ohio Department of Natural Resources, raising the total number of permits issued to 91 since December 2009 (43 horizontal and 48 vertical).

Chesapeake Energy (CHK) shows no sign of slowing down in the Utica Shale and received five drilling permits.  The company was issued permits to drill the Jan Paul Farms 17-15-4 3 (vertical) and the Jan Paul Farms 17-15-4 3H (horizontal) wells in Hanover Township in Columbiana County.

Chesapeake Energy also received horizontal permits to drill the White 17-13-5 3H in Lee Township in Carroll County and the Mast Gea 6H in Parkman Township in Geauga County. The fifth permit was to vertically drill the Trebilcock 25-15-4 3 also in Hanover Township in Columbiana County.

The final permit was issued to David R Hill Inc., to drill the J & V Pierce, a vertical well in Wills Township in Guernsey County.

Source: Ohio DNR

Utica Shale Permit Update

The Ohio Department of Natural Resources issued fifteen new permits to drill into the Utica Shale, bringing the total number of permits to eighty five (40 horizontal and 45 vertical).

Chesapeake Energy (CHK) continued to lead in the development of the Utica Shale and was issued eight permits. Anadarko Petroleum (APC) received four permits, and Enervest and Beck Energy also were issued permits to drill.

Permits to drill in Ashtabula, Geauga and Muskingum Counties in Ohio were issued for the first time.  Also, the Townships of Richmond, Rose, Parkman, Harrison, Meigs and Brookfield will see Utica Shale drilling for the first time.

Date	County	Township	Type	Operator	Well Name
10/4/2011	Ashtabula	Richmond	V	Chesapeake	Moyer Ash 3
10/4/2011	Belmont	Richland	V	Beck Energy	Hickenbottom 1
10/4/2011	Carroll	Rose	V	Enervest	Ott 2
10/4/2011	Geauga	Parkman	V	Chesapeake	Mast Gea 6
9/30/2011	Carroll	Harrison	V	Enervest	Symes 5
9/30/2011	Muskingum	Meigs	V	Anadarko	FREC Musk Meigs A1
9/30/2011	Muskingum	Meigs	H	Anadarko	FREC Musk Meigs A1H
9/30/2011	Noble	Brookfield	V	Anadarko	Noble Brookfield A1
9/30/2011	Noble	Brookfield	H	Anadarko	Noble Brookfield A1H
9/27/2011	Carroll	Lee	H	Chesapeake	White 17-3-5 10H
9/20/2011	Carroll	Lee	H	Chesapeake	White 17-13-5-8H
9/20/2011	Carroll	Lee	H	Chesapeake	Tanner 24-12-4-10H
9/20/2011	Jefferson	Ross	H	Chesapeake	Asuncion 15-11-3-1H
9/20/2011	Mahoning	Goshen	V	Chesapeake	K Martig 6-17-4-8
9/20/2011	Mahoning	Goshen	H	Chesapeake	K Martig 6-17-4-8H

Carrizo Oil and Gas Enters Utica Shale Joint Venture

Carrizo Oil and Gas (CRZO) formed a joint venture with Avista Capital Partners to purchase and develop leasehold that is prospective for the Utica Shale.  The venture is primarily looking for leasehold in the liquids portion of the play and recently closed on the acquisition of 15,000 net acres in Ohio and Pennsylvania at an average cost of $1,500 per acre.

Carrizo Oil and Gas will own an initial 10% interest in the joint venture but holds two purchase options to increase its interest to 50% over the next eighteen months. Carrizo Oil and Gas will also be the operator of the joint venture.